Nigeria, US sign pact to boost $700bn mining investment

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By Gabriel Ewepu

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ABUJA — Nigeria and the United States have signed a framework agreement aimed at deepening American investment in Nigeria’s mining sector and developing the country’s mineral resources, estimated by the Federal Government at about $700 billion.

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The agreement was signed and exchanged on Wednesday at the Nigeria Mission House in New York by the Minister of Solid Minerals Development, Dele Alake, and US Deputy Secretary of State, Christopher Landau, on the sidelines of the 81st United Nations General Assembly.

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The framework is designed to use the Nigeria-US government relationship as a foundation for business-to-business transactions and greater investment across the country’s mineral value chain.

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It covers geological data and exploration, mineral development and processing, infrastructure and technical capacity building.

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Speaking at the signing ceremony, Alake said the agreement marked a new phase in Nigeria’s efforts to attract investment into the mining sector and move beyond the export of raw minerals.

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“Some agreements manage the present, and some agreements shape the future. The framework we sign today belongs to the second kind,” he said.

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Alake said Nigeria wanted to secure greater value from its mineral resources through local processing, skills development, job creation and opportunities for Nigerian businesses.

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“Our goal is to turn potential into lasting value at home through stronger local processing, new skills, quality jobs, and new opportunities for Nigerian businesses,” he said.

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He said the framework would strengthen cooperation between both countries in geological exploration, mineral development and processing, infrastructure and technical capacity.

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According to him, implementation of the agreement would support Nigeria’s economic diversification and industrial development objectives.

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“Now comes the harder and more important work: moving from agreement to implementation. A signature is a promise, results are the proof,” Alake said.

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He said Nigeria would, in the coming months, identify viable projects, mobilise investments and develop commercial partnerships capable of delivering measurable benefits to both countries.

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Responding, Landau described Nigeria as a regional power and said the United States regarded the country as an important partner.

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He said the agreement would create opportunities for greater prosperity in both countries and reaffirmed Washington’s interest in supporting Nigeria’s economic growth.

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“The signal we are sending is that the United States and Nigeria are partners,” Landau said.

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He added that under President Donald Trump and President Bola Tinubu, both countries had strengthened cooperation in recent months and expressed a desire to build on the momentum.

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The agreement comes as Nigeria seeks to attract more foreign investment into its largely underdeveloped mining sector and increase local value addition, particularly in critical minerals.

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The US delegation included Deputy Assistant Secretary for West African Affairs, Rich Michaels; Acting Deputy Assistant Secretary for Southern Africa, Foreign Assistance and Critical Minerals, Chris Kulukundis; Senior Policy Adviser to the Deputy Secretary, Wyatt Toehlkeke; and Jitu Sardar.

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Those who witnessed the signing included Lagos State Governor, Babajide Sanwo-Olu; Permanent Secretary, Ministry of Solid Minerals Development, Yusuf Yabo; Director-General, Nigerian Mining Cadastral Office, Simon Nkom; Executive Secretary, Solid Minerals Development Fund, Fatima Shinkafi; and Chief Executive Officer, Nigeria Solid Minerals Company, Martin Imonitie.

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